Question
A $1,000 par value, 5% coupon bond sells for $990 and has a twenty-year maturity. The bond is callable five years from today for a
A $1,000 par value, 5% coupon bond sells for $990 and has a twenty-year maturity. The bond is callable five years from today for a call price of $1,080. Calculate the yield to call for the bond. You may use the approximation formula if you dont have a financial calculator.
please show work
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Finance For Nonfinancial Managers Beginners Handbook For Finance
Authors: Murugesan Ramaswamy
1st Edition
1516973801, 978-1516973804
